Highest Take-Home
Mexico
2025
28.8%
effective tax rate
Take-home
$71,151
$5,929/mo
Income 27% Social 2%
On a $100,000 salary, you'd take home $71,151 in Mexico versus $70,904 in Canada.
Mexico
$71,151
+$247/year
Canada
$70,904
That's $21 more per month in Mexico
Side-by-side breakdown
Canada
2025 · Ontario
29.1%
effective tax rate
Take-home
$70,904
$5,909/mo
Income 16% State 7% Social 4% Other 1%
Tax rate by income level
Effective Tax Rate by Income
Shows effective tax rate (total tax / gross income) at different income levels in USD
Understanding the difference
Life & Taxes
North vs. South Vibes
Whether you are a digital nomad seeking the warm Oaxacan sun or a healthcare professional looking for a stable life in Ontario, the move between these two neighbors is a classic trade-off. Mexico offers a vibrant, soul-warming pace for retirees and freelancers, while Canada remains the gold standard for families seeking safety and career growth.
Cost of Living Paradox
In Mexico, life feels more accessible; your daily coffee and street tacos won't break the bank, and the lack of state income taxes keeps things simple. Canada feels more premium, where higher costs are balanced by world-class infrastructure and a society that functions like a well-oiled machine.
A Tale of Two Brackets
Mexico utilizes a granular system with eleven different tax brackets, meaning your rate climbs slowly as you earn more. Canada keeps it simpler with five federal tiers, but you have to watch out for the provincial 'add-ons' like the Ontario surtax, which can make your total bill feel a bit heavier.
The Safety Net Split
Your Canadian taxes are an investment in a robust social blanket, covering everything from healthcare to retirement through the CPP and EI systems. Mexico takes a lighter touch with social security contributions, leaving you with more immediate cash in pocket but more personal responsibility for your future.
The Bottom Line
If you want a straightforward, centralized tax system with no regional surprises, Mexico is your tropical paradise. However, if you prefer a system that offers generous personal tax credits and a massive social safety net, the Great White North is worth every cent of your contribution.
Detailed tax breakdown
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